How to Read a $BTC Liquidation Map: Complete Chart Breakdown
This Is For You
Ever seen a liquidation map like this and wondered what it actually means?
Let’s break it down step by step, using the chart above to understand where the big money is targeting, and how you can stay ahead.
🔺 Red Dotted Line: Current Price
The red vertical arrow marks the current $BTC price (in this case, 107011). Everything on the left and right of this line shows potential liquidation zones, where traders are most vulnerable.
🔴 Red Zone: Short Liquidation Area
This area shows where short traders will get liquidated if the price moves upward.
The more the price climbs, the more short positions get wrecked.
This often causes a short squeeze, pushing the price even higher.
🟢 Green Zone: Long Liquidation Area
This area shows where long traders will get liquidated if the price moves downward.
Whales sometimes push the price down to this zone to trigger long liquidations, then the market bounces.
This is also known as a long trap.
📊 Colorful Vertical Bars, Liquidity Clusters
The vertical bars in orange, yellow, and blue represent liquidation volume.
🔸 Orange: high risk zone (lots of liquidation likely)
🔹 Blue: lower risk zone
Bigger the bar ,more traders may get liquidated if price hits that level.
🧠 Why Does It Matter?
Whales and smart money often target these high-liquidity zones to trap traders.
When you understand this map, you don’t follow the crowd, you follow the smart money.
It’s a tool to avoid fakeouts and enter/exit with better timing.
🔚 Conclusion
A liquidation map is not a crystal ball but it shows where the pain points are. It’s where fear, greed, and big liquidations happen. Smart traders use this data to stay one step ahead.
If this helped you, follow for more charts, breakdowns, and strategy tips. Let’s trade smart, not blind.